FHEPS nightmare and issues with non payment case

FHEPS nightmare and issues with non payment case

Rental Property Investor · New York, NY · Member since 2011 · 101 posts · 11 votes

Looking for input from NYC landlord-tenant attorneys or landlords who've dealt with something similar.

The situation:

- My tenant is on FHEPS (the NY state program). The program stopped paying from June 2025 to June 2026 — a full year of missed rent.

- The tenant's lease expired in October 2025, and I took the tenant to court on a nonpayment case (filed via NYSCEF).

- In May 2026, the program contacted me and said that if I generated a lease for the 2026 year, they could potentially pay me the back rent. Before doing anything, I asked my attorney — he told me I could sign it since the case was for nonpayment. I followed his advice and signed.

- Since then, the program started paying the current rent again, but never paid the year of arrears.

- The new lease has now expired again, and my attorney is telling me the case may be dismissed because I signed the new lease so he is trying to settle. The terms are TBD

My questions:

1. Is that right — does signing a new lease during a pending nonpayment case actually get the case dismissed, even when the arrears are from before the new lease?

2. If the case is dismissed, is there another route to recover the year of unpaid rent or get the tenant evicted. At this point I will settle for just eviction

3. Has anyone gotten FHEPS to actually pay retroactive arrears in a situation like this?

4. Since the step that may have hurt the case was my own attorney's advice, is this a situation where I should bring in a different attorney before the case is dismissed?

Appreciate any guidance, especially from anyone practicing landlord-tenant law in NYC.

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  • Divin KanyamaBusiness Member
    Accountant · Seattle, WA · Member since 2025 · 681 posts · 285 votes
    1w

    @Raza Rizvi I'm not an attorney, so this is general perspective, not legal advice.

    1 and 2. It depends on the lease language, whether it was a new tenancy or a renewal, and whether you reserved your rights. A new lease can complicate a pending case, but it doesn't necessarily erase the debt. You may still be able to pursue the unpaid rent separately, and possibly start a new possession case. A NYC landlord-tenant attorney can tell you which route fits.

    3. I haven't seen a case where FHEPS paid a full year of back rent. Get everything they told you in writing and request a formal explanation of why payments stopped.

    4. A second opinion is reasonable, and I'd do it before any settlement is signed or the case is dismissed. Bring the lease, petition, docket and your communications with the program.

    Sorry you're dealing with this, a year of missed rent is brutal. Hopefully someone who practices in NYC can weigh in.

    • Rental Property Investor · New York, NY · Member since 2011 · 101 posts · 11 votes
      1w

      Thank you for your insights. I appreciate the feedback

  • Matthew MorrowBusiness Member
    Investor · PA - NY - NJ · Member since 2019 · 936 posts · 340 votes
    1w

    @Raza Rizvi I'm not an attorney and this one really needs one, but I've dealt with HUD-related rent adjustments and reconciliation on my own properties, so I feel for you. What's helped me most is getting everything from the program in writing: what they've paid, for which months, and exactly what they've committed to on the back rent. Keep your own ledger that matches theirs month by month so there's no gray area. With a case already open, I'd make sure your attorney sees every payment as it comes in, since it can affect where the case goes. Hope you get it worked out.

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